By Isett                                              H.B. No. 1622
         77R4309 MXM-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the creation of a statewide contract management policy.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1.  Subtitle F, Title 10, Government Code, is amended
 1-5     by adding Chapter 2262 to read as follows:
 1-6                CHAPTER 2262.  STATEWIDE CONTRACT MANAGEMENT
 1-7                      SUBCHAPTER A.  GENERAL PROVISIONS
 1-8           Sec. 2262.001.  DEFINITIONS. In this chapter:
 1-9                 (1)  "Contract manager" means a person who:
1-10                       (A)  is employed by a state agency; and
1-11                       (B)  manages contracts for that state agency.
1-12                 (2)  "State agency" has the meaning provided by Section
1-13     2056.001.
1-14             (Sections 2262.002-2262.050 reserved for expansion
1-15                     SUBCHAPTER B.  CONTRACT MANAGEMENT
1-16           Sec. 2262.051.  CONTRACT MANAGEMENT GUIDE. The attorney
1-17     general, General Services Commission, and state auditor shall
1-18     develop a contract management guide for use by state agencies.  The
1-19     guide must provide information regarding the primary duties of a
1-20     contract manager, including how to:
1-21                 (1)  solicit a contract;
1-22                 (2)  write a contract;
1-23                 (3)  review and analyze a contract;
1-24                 (4)  monitor a contractor's progress and performance;
 2-1                 (5)  ensure that goods and services comply with
 2-2     contract specifications;
 2-3                 (6)  resolve disputes in a timely manner;
 2-4                 (7)  comply with contractual payment requirements;
 2-5                 (8)  exercise state remedies when a contractor's
 2-6     performance violates the contract or otherwise proves deficient;
 2-7     and
 2-8                 (9)  close out a contract.
 2-9           Sec. 2262.052.  TRAINING. (a)  The attorney general, General
2-10     Services Commission, and state auditor shall develop and implement
2-11     a training program for each contract manager.
2-12           (b)  The training must provide the manager with information
2-13     regarding how to:
2-14                 (1)  fairly and objectively select the most qualified
2-15     contractor;
2-16                 (2)  establish prices that are cost-effective and that
2-17     reflect the cost of providing the service;
2-18                 (3)  include provisions in a contract that hold the
2-19     contractor accountable for results;
2-20                 (4)  monitor and enforce a contract;
2-21                 (5)  make payments consistent with the contract; and
2-22                 (6)  comply with any requirements or goals contained in
2-23     the contract management guide developed under Section 2262.051.
2-24           (c)  Each contract manager shall complete the training
2-25     developed under this section.
2-26           SECTION 2.  Section 2056.002(b), Government Code, is amended
2-27     to read as follows:
 3-1           (b)  The Legislative Budget Board and the Governor's Office
 3-2     of Budget and Planning shall determine the elements required to be
 3-3     included in each agency's strategic plan.  Unless modified by the
 3-4     Legislative Budget Board and the Governor's Office of Budget and
 3-5     Planning, and except as provided by Subsection (c), a plan must
 3-6     include:
 3-7                 (1)  a statement of the mission and goals of the state
 3-8     agency;
 3-9                 (2)  a description of the indicators developed under
3-10     this chapter and used to measure the output and outcome of the
3-11     agency;
3-12                 (3)  identification of the groups of people served by
3-13     the agency, including those having service priorities, or other
3-14     service measures established by law, and estimates of changes in
3-15     those groups expected during the term of the plan;
3-16                 (4)  an analysis of the use of the agency's resources
3-17     to meet the agency's needs, including future needs, and an estimate
3-18     of additional resources that may be necessary to meet future needs;
3-19                 (5)  an analysis of expected changes in the services
3-20     provided by the agency because of changes in state or federal law;
3-21                 (6)  a description of the means and strategies for
3-22     meeting the agency's needs, including future needs, and achieving
3-23     the goals established under Section 2056.006 for each area of state
3-24     government for which the agency provides services;
3-25                 (7)  a description of the capital improvement needs of
3-26     the agency during the term of the plan and a statement, if
3-27     appropriate, of the priority of those needs;
 4-1                 (8)  identification of each geographic region of this
 4-2     state, including the Texas-Louisiana border region and the
 4-3     Texas-Mexico border region, served by the agency, and if
 4-4     appropriate the agency's means and strategies for serving each
 4-5     region;
 4-6                 (9)  a description of the training of the agency's
 4-7     contract managers under Section 2262.052; and
 4-8                 (10) [(9)]  other information that may be required.
 4-9           SECTION 3.  (a)  Except as provided by Subsections (b) and
4-10     (c) of this section, this Act takes effect September 1, 2001.
4-11           (b)  Section 2262.052(c), Government Code, as added by this
4-12     Act, takes effect September 1, 2002.
4-13           (c)  A state agency is not required to comply with Section
4-14     2056.002(b)(9), Government Code, as added by this Act, until June
4-15     1, 2004.